The original Pact was formed by the father of Night Thrasher, the Father of Midnight's Fire and Silhouette, the father of Smiling Tiger, the Father of Silk Fever, the father of Bloodstrike, and the Left Hand.
These people had been in the same fight unit during the Vietnam War. They had stumbled upon an ancient temple of the Dragon's Breadth where they where met and captured by Tai. There they learned that the Dragon's Breadth was an ancient organization that had once found a mystic well capable of inter dimensional power. They bred their offspring carefully until one generation appeared that was better at harnessing the energies of the well better that any before them. Their children would mate with westerners and those children would use the energies of the well to dominate the world. Things did not go well however. Night Thrasher's father refused to participate, and the Left Hand's child was in an accident and ended up in a severe coma. After this the Left Hand went to study magic in hopes of curing his daughter. He soon gathered the children of the pact to help defeat Tia.
The Folding Circle was created by Fabian Nicieza and Mark Bagley in 1992 and first appeared in New Warriors # 21.